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NGB Dispute -- NJ Court Rules in Against USET (Again) BRREAKING NEWS - USET WITHDRAWS CHALLENGE (pg 2)

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  • NGB Dispute -- NJ Court Rules in Against USET (Again) BRREAKING NEWS - USET WITHDRAWS CHALLENGE (pg 2)

    The latest from the NGB front is that this morning the New Jersey court granted summary judgment in favor of Alan Balch and against the USET, finding that the USET had again violated New Jersey law and its own corporate governance documents in purporting to amend its bylaws and in the conduct of its (third) 2001 annual meeting in September and October 2001. The court ruled that the USET had on its third try yet again failed to properly conduct its 2001 annual meeting and everything the USET did at that meeting ,including amending its bylaws so that it could qualify to maintain its NGB Challenge, was null and void.

    The court further found that the USET had "thumbed its nose" at the court's previous orders regarding what it could and could not do and how it needed to proceed. This time the court ordered the USET to pay all of Balch's attorney's fees and costs in pursuing this action. Oooh, that's gotta hurt.

    [This message was edited by Weatherford on Jan. 14, 2003 at 09:00 PM.]
    "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry
  • Original Poster

    #2
    The latest from the NGB front is that this morning the New Jersey court granted summary judgment in favor of Alan Balch and against the USET, finding that the USET had again violated New Jersey law and its own corporate governance documents in purporting to amend its bylaws and in the conduct of its (third) 2001 annual meeting in September and October 2001. The court ruled that the USET had on its third try yet again failed to properly conduct its 2001 annual meeting and everything the USET did at that meeting ,including amending its bylaws so that it could qualify to maintain its NGB Challenge, was null and void.

    The court further found that the USET had "thumbed its nose" at the court's previous orders regarding what it could and could not do and how it needed to proceed. This time the court ordered the USET to pay all of Balch's attorney's fees and costs in pursuing this action. Oooh, that's gotta hurt.

    [This message was edited by Weatherford on Jan. 14, 2003 at 09:00 PM.]
    "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

    Comment


    • #3
      WOW
      Nothing says "I love you" like a tractor. (Clydejumper)

      The reports states, “Elizabeth reported that she accidently put down this pony, ........, at the show.”

      Comment


      • #4
        Send a copy to USOC

        Comment


        • #5
          The JUDGE needs to send it to USOC, since they have a small problem with impartiality and would probably not believe it was real should AB or USA Eq send it to them .....
          Mal:This is the Captain. We have a little problem with our entry sequence, so we may experience some slight turbulence and then .... explode

          Comment


          • #6
            so should all of the uset folk that were illegally voted off their board show up for their January meeting?
            Nothing says "I love you" like a tractor. (Clydejumper)

            The reports states, “Elizabeth reported that she accidently put down this pony, ........, at the show.”

            Comment


            • #7
              sounds like a plan to me
              Mal:This is the Captain. We have a little problem with our entry sequence, so we may experience some slight turbulence and then .... explode

              Comment


              • #8
                is there a url to the court order?
                more hay, less grain

                Comment

                • Original Poster

                  #9
                  I haven't seen the written order; I know the judge ruled on it from the bench this morning, which is when he used the nose thumbing language. Here's the text of the USA Eq release on it:

                  NEW JERSEY COURT AGAIN NULLIFIES USET CORPORATE ACTIONS

                  After hearing oral argument, the Superior Court of New Jersey today granted summary judgment in favor of Alan Balch, the President of USA Equestrian, the National Equestrian Federation of the United States, declaring that the new bylaws which were adopted by the United States Equestrian Team in September and October 2001 are null and void.

                  In February 2001, the USET filed a Challenge with the United States Olympic Committee (USOC), seeking to replace the Federation as the National Governing Body for equestrian sport. Under the federal Amateur Sports Act and USOC precedents, an organization cannot file or maintain a challenge unless appropriate internal corporate governance documents are in place within one year after the end of the prior Olympic games. In March 2001, the USET began efforts to amend its bylaws to support its Challenge. Mr. Balch, acting in his capacity as an ex officio trustee of the USET, filed a lawsuit challenging the validity of the corporate actions taken by the USET. In August 2001, the New Jersey Court declared the USET's actions to be null and void because they violated New Jersey law as well as the USET's own corporate charter and bylaws.

                  Despite the ruling of August 2001 the Board of Trustees of the USET again purported to adopt amended bylaws on September 28, 2001. At the USET's annual meeting of October 10, 2001, a vote was taken to ratify the adoption of the new bylaws. After mediation efforts failed to resolve the Challenge, Mr. Balch filed another lawsuit to challenge the validity of the USET's corporate actions in September and October 2001.

                  Today, the New Jersey Court ruled that the USET had once again violated New Jersey law and its own corporate charter when the Board of Trustees adopted new bylaws on September 28, 2001. The Court also declared that all actions taken at the annual meeting on October 10, 2001 - including the ratification of the newly adopted bylaws - are null and void because the proxy solicitation issued by USET management failed to disclose that a ratification vote would take place, and thus was false and misleading.

                  In addition, the New Jersey Court observed: "As the record demonstrates, Mr. Balch did everything he could to avoid this lawsuit, but the USET persisted in thumbing its nose at the rulings of this Court in the first lawsuit, defiantly repeating the very same conduct for which it had been rebuked, even to the point of attempting to resurrect acts which this Court had nullified." As a result, the Court ordered the USET to reimburse Mr. Balch for the fees and expenses he incurred in obtaining today's rulings.

                  ENDS
                  "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

                  Comment

                  • Original Poster

                    #10
                    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by SoEasy:
                    The JUDGE needs to send it to USOC, since they have a small problem with impartiality and would probably not believe it was real should AB or USA Eq send it to them ..... <HR></BLOCKQUOTE>
                    Yep, this was one of those "frivolous" claims that the USOC M&C Committee said in its recent letter that USA Eq has pursued.

                    Between the sanctions awarded against them a few weeks ago for their misguided effort to disqualify Rich Collier as AB/USA Eq's lawyer, and now being ordered to pay all of AB's legal fees and costs, I'm thinking this Judge isn't too happy with the USET.
                    "I don't want to sound like a broken record here, but why is it that a woman will forgive homicidal behavior in a horse, yet be highly critical of a man for leaving the toilet seat up?" Dave Barry

                    Comment


                    • #11
                      Portia,

                      Any idea how (or IF) this will impact the situation with the USOC?

                      I can't imagine that there is any way to portray this ruling as positive for the USET, speaking as it does to their continued willingness to act outside the bounds of proper corporate behavior...

                      Of course, as much as it pains me to say it, the USOC is not exactly known for its strict adherence to standards of integrity and lawful behavior. *sigh*

                      I choose my friends for their good looks, my acquaintances for their good characters, and my enemies for their intellects. A man cannot be too careful in the choice of his enemies.
                      Oscar Wilde (1854–1900)
                      \"It\'s a funny thing about life: If you refuse to accept anything but the best, you very often get it.\" ---W. Somerset Maugham

                      Comment


                      • #12
                        Talk about a situation where you should disband both organizations and start again. everytime I read about this it sounds like two kids having a pissing contest in a sandbox.

                        Comment


                        • #13
                          Armand! At first I real your line as "is there a hurl to the court order," and I thought "Well, if not yet then very, very soon."

                          Comment


                          • #14
                            <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Snowbird:
                            While I disagree with the fact that these two threads are the same I bow to your use of authority.

                            I do think the the point of interest on my thread was the fact that it was New Jersey who upheld the Law and we have much to be proud of as those who horse owners that live in New Jersey.

                            Especially since New Jersey is the Home base of the USET I am very proud the Courts had the chutspha to do the right thing. Now maybe The Congress will follow the lead of New Jersey with instructions as to the law the USOC is supposed to endorse.<HR></BLOCKQUOTE>
                            http://www.usAHSA.org and http://www.noreinstatement.org

                            Comment


                            • #15
                              <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by SGray:
                              so should all of the uset folk that were illegally voted off their board show up for their January meeting?<HR></BLOCKQUOTE>

                              LOL!!! So, who IS the board?

                              ****
                              Just because you're not paranoid, doesn't mean they're not out to get you.
                              *****
                              You will not rise to the occasion, you will default to your level of training.

                              Comment


                              • #16
                                Amazing. Just................................ Amazing

                                ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
                                I'm an organ donor. Are you?
                                "He lives in a cocoon of solipsism"

                                Charles Krauthammer speaking about Trump

                                Comment


                                • #17
                                  I don't think at this point they know who's on the Board!

                                  It's not amazing at all it is exposure. You play fast and loose with the truth as long as your meetings and plans are secrets but once they find the light of day the truth is exposed.

                                  So, now we know the USET missed their deadline to be legal and they're back to square one...the question is will the USOC realize this was a frivolous challenge?

                                  The Federation has time to totally comply with all the laws since they have followed all the laws...the question is can USOC still find Equestrian vacant? Do they want to be in charge of our Team?

                                  The third possibility is that the USOC will realize they've been had, and leave USAE as NGB...the question is what happens to the Team Members and staff?

                                  Will they come home to USAE?
                                  http://www.usAHSA.org and http://www.noreinstatement.org

                                  Comment


                                  • #18
                                    And pray tell, when will this all end?

                                    Before a) we're all dead and gone or b) when the courts have seen an inordinate waste of monies by both parties and no one gives a damn any longer.

                                    My vote is for b.....Sorry, but his is freakin unbelievable!

                                    Comment


                                    • #19
                                      USOC will, in its present form, obviously support the claim of USET as long as there is breath and money to be had in both bodies.

                                      Of course, as USOC is YET AGAIN having to get rid of its head honcho for YERT AGAIN corrupt, illegal practices...the body might get a new head.

                                      A ckearer head.
                                      '
                                      A real head.

                                      ha ha ha.

                                      In all honesty, so long as USET believes it has something to gain by prolonging this fight..this fight will go on.

                                      So long as no governing body will tell USET the fight is over, this fight will go on.


                                      USET simply cannot be the NGB.

                                      It is not equipped to be NGB, it is not set up to be NGB.

                                      It was not created to be NGB.

                                      Which leaves The Other One to be NGB.

                                      Because it IS the NGB.

                                      Some day, these rather simple facts will be observed and respected.

                                      I suspect, when the money runs out.
                                      one oak, lots of canyons

                                      http://horsesportnews.wordpress.com/

                                      Comment


                                      • #20
                                        <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Coreene:
                                        Armand! At first I real your line as "is there a hurl to the court order," and I thought "Well, if not yet then very, very soon."<HR></BLOCKQUOTE>

                                        LOL! I thought the same thing!

                                        Comment

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